Orange returns to growth in Romania in Q4 2020

Orange Romania, the leader of the local telecom market, recorded a turnover of EUR 304 million in the fourth quarter (Q4) of 2020, up by 1.4% compared to the same period of 2019. The telecom operator thus returned to growth in the last quarter of the year, after three consecutive quarters with declining results, which culminated with a 10% turnover drop in the second quarter, amid the lockdown. Overall, Orange’s turnover in Romania went down by 3.2% in 2020, to EUR 1.08 bln.

The company served 10.73 million clients at the end of 2020, up by 1% compared to the end of 2019, according to a press release. Its portfolio of fixed broadband internet clients went up by 13% year-on-year, to 403,000.

Orange is the local telecom operator with the widest coverage. Its 4G services covered 99.2% of the country’s population while the 4G+ coverage reached 65% of the population (up from 53% at the end of 2019). The company also expanded its 5G coverage in 2020 to 15 cities in Romania, with the capital Bucharest fully covered by such services.

The 5G networks offer internet speeds of up to 1.2 Gbps, similar to those offered by fixed broadband connections and 10 times higher than 4G connections. They also support technical innovation in the area of smart cities and mobility. However, the deployment of 5G services in Romania has been delayed due to regulatory issues mainly related to what companies will be allowed to supply equipment for 5G networks. The public tender for the sale of 5G licenses has been postponed to the second half of this year. Meanwhile, large operators have started to offer 5G services based on the current frequencies, but these services are only limited to large cities.

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